The paper "The Hershey Company Marketing Report " is an outstanding example of a marketing case study. The report provides an in-depth analysis of the current internal and external factors affecting the Hershey Company. An evaluation of the confectionery market of the United States, which is the chosen country in the manner it affects the company is used in outlining the market size, market leaders, concentration and distribution of industries as well as their growth. The SWOT analysis is adopted in identifying the strengths, weaknesses, opportunities and threats facing the Hershey Company.
Findings are analyzed using the SWOT table where the various elements and the way they relate to the business are outlined. The report draws the conclusion that the current market is not sustainable. Various recommendations that include the development of the new product, identification of a new target market and the application of the right marketing mix are given. Introduction The paper is a marketing report of the Hershey Company. The report is valuable to the company since it provides information regarding the business environment. It can be used to assess the various conditions either internal or external, including the market demand, supply, quality, quantity and the price of the product and services offered by the company thus aid in the expansion of the market for the commodities. Background of the company The Hershey Company was founded on 9th February 1894 as a chocolate business known as Hershey Chocolate Company (Halbert & Ingulli, 2014).
Milton S. Hershey was the founder of the company that has grown to become the leading manufacturer of chocolate in Northern America. Formerly known as Hershey Foods Corporation, the headquarters of the company are located in Hershey, Pennsylvania in the United States. Market Description The confectionery market is composed of three components namely the chocolate confectionery, sugar confectionery and gum products.
These elements consist of the high amount of sugar and its substitutes, calories and carbohydrates contents and minimal micronutrients (Warren, 2014). The United States confectionery market has been growing in the last few years due to changing consumer trends. The chocolate confectionery previously held a small market share as people were health-conscious of the consequences of consuming a large amount of sugar. In the year 2015, the United States Confectionery the sales in confectionery market amounted to an estimated 34.9 billion dollars (Greenberg et al.
2016). More than 2 billion dollars was also generated through export in the country. The industry directly provides employment for more than 55,000 people in the country and an additional 400,000 job opportunities indirectly. Indirect employment opportunities are provided in such areas as the retailing, transportation sector, agricultural and even in related industries that provide raw material and those that consume confectionery products. The market is composed of various segments with chocolate sale making the largest share as it generated 21.1 billion dollars in 2015 (Greenberg et al.
2016). The United States confectionery market is constituted of more than 400 companies. The two dominant manufacturers are The Hershey Company and Mars who had a combined market share of 65 percent. Other companies include Nestle with a market share of 5 percent and Lindt with 1 percent of the market share. Other smaller companies take a combines 26 percent of the confectionery market share. The Hershey Company is the leading chocolate manufacturer in the United States with a market share of 44.4 percent in the year 2015 with Mars being the competing manufacturer with a 21 percent of the market share (Greenberg et al.
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